Brisbane bid opens up a new era for the federation

The 2032 Brisbane Olympics will recast the Australian federation, dealing the federal government into planning and delivering major infrastructure projects at a state or local government level.

The deal struck by Scott Morrison and Annastacia Palaszczuk (pictured) to split the Games’ cost would also give Canberra unprecedented input. Picture: Adam Head

The 2032 Brisbane Olympics will recast the Australian federation, Lord Mayor Adrian Schrinner predicts, dealing the federal government into planning and delivering major infrastructure projects at a state or local government level.

Speaking from Tokyo, Mr Schrinner said the deal struck by Scott Morrison and Queensland Premier Annastacia Palaszczuk to split the Games’ cost would also give Canberra unprecedented input into how and where money was spent.

“This will be the first time, I think, in the history of the federation that the Australian government gets a direct say in infrastructure projects,” he said ahead of Friday’s opening ceremony of the postponed 2020 Games in Japan.

“Usually, the government just writes out the cheque and the key decisions, and the delivery is done by the state or local councils. So this could actually change the federation … and I think that is a very important development.”

Co-operation between the three levels of government to fund Games-related infrastructure was key to securing the 2032 hosting rights from the International Olympic Committee, Mr Schrinner told The Weekend Australian.

His comments came after the Prime Minister emphasised that the 50-50 funding deal came with strings attached from Canberra. This put the federal government on the hook for an estimated $6bn to cover its share of the infrastructure spend, on top of the $5bn operating cost of the Games. But Mr Morrison has said the decision-making would be a “shared exercise” between the Queensland and federal governments covering planning, scoping of venues, procurement, contracting and appointments to the yet-to-be established Games organising committee and co-ordination authority.

This was in sharp contrast to the arrangements for Sydney 2000, where the commonwealth chipped in $150m but left most of the work to the NSW government. “It’s not just one state running a Games and sending us the bill,” he said on the back of the IOC’s decision to name Brisbane as the third Australian city to host the greatest event in world sport, after Sydney 21 years ago and Melbourne in 1956.

Mr Schrinner, who addressed IOC delegates on Wednesday alongside Ms Palaszczuk and Australian Olympics boss John Coates, said the Games were a “very small cost” to the country compared to the hundreds of billions spent on the Covid response, and would deliver lasting benefits to Brisbane and southeast Queensland.

He backed Ms Palaszczuk’s pledge to the IOC that the Games would be cost-neutral, based partly on forecasts the event would generate $18bn in economic and social benefits.

IOC rule changes under its “New Norm” process meant Brisbane would not be required to build a new venue for each Olympic sport, a huge saving. About 80 per cent of facilities already existed, though many would have to be upgraded along the lines of the Gabba stadium in central Brisbane, earmarked for a $1bn refurbishment.

Mr Schrinner said the decade-long lead-up to the Brisbane Olympics was longer than any in the modern era and would allow a “much more planned and sensible” approach, driving down costs.

But former NSW premier Bob Carr, who presided over the success of Sydney 2000, questioned whether any Games could be brought in on a cost-neutral basis.